PART I CONFRONTING CORRUPTION IN SECTORS AND FUNCTIONS
CHAPTER 1 PUBLIC PROCUREMENT
FIGURE 1.2 Change in Corruption Risk Indicators as a Result of the e-GP Intervention Panel A. Single bidding and non-local supplier rate 0%
10%
20%
Panel B. Winning rebate (percentage point)
30%
0%
40%
single bidder %
manual
non-local supplier %
e-GP
manual
2%
4%
6%
8%
e-GP
The more procurement performance improved in the select group of first movers, the more support procurement reforms gathered. Effectively addressing corruption was fundamental to achieving early successes, for example by preventing the physical intimidation of bidders by corrupt gangs by enabling the electronic submission of bids. Concrete improvements in procurement created an expanding constituency for continued reform that was strong enough to overcome the initial opposition to reform from the entrenched vested interests in both the public and private sectors. The initial adoption of the e-GP system in only the four pilot agencies also allowed government officials to focus their efforts on implementing change across a limited number of entities. Ownership and support for reforms was built over time thanks to a gradual sequencing of the reform implementation. Initially, government support for the e-GP reform was weak. Instead, the implementation of the e-GP reform was a bottom-up approach, mainly owned by midlevel public officials of a few key agencies (who wanted to see changes) and a relatively young tendering community. The project implementers, including CPTU and the four pilot agencies, leveraged the support of these enthusiastic officials and the young community of bidders as well as communities. Political will to support procurement reform grew when leaders saw that new procurement practices and systems were gaining popularity by reducing bid rigging, coercion, and collusion. Shortly thereafter, procurement reform
become one of the Prime Minister’s most prominent political commitments. Key members of cabinet, like the Minister of Finance and Planning, also supported the roll-out of e-GP. Beyond technic al content for laws, c apacit y development, and e-GP, the CPTU also undertook a massive stakeholder engagement program that supported a range of activities in engaging and sensitizing key stakeholders across the countr y on the impor tance of procurement reform and the benefits of efficient procurement. Increased transparency, combined with increased attention to making information publicly accessible, was essential to generating interest in public procurement reforms inside and outside of government. Equally important, newly established mechanisms for capturing and analyzing information provided stakeholders with the opportunity to examine procurement outcomes across the four agencies, within specific procuring entities, and in specific transactions. This new insight enabled officials, bidders, and communities to understand where progress was taking place, as well as where problems persisted and where additional scrutiny was needed. Transparency, information provision, and active monitoring allowed government officials to manage procurement reform, while at the same time enabling outsiders to monitor and review progress and behavior. This combination proved to be a vital source of energy and dynamism for reform.
Enhancing Government Effectiveness and Transparency: The Fight Against Corruption
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